On March 11, FinCEN issued a Geographic Targeting Order (GTO) to combat “illicit activities and money laundering of Mexico-based cartels” along the U.S. southwest border. The order requires money service businesses in select areas of California and Texas to file Currency Transaction Reports (CTRs) for cash transactions over $200. According to Treasury Secretary Scott Bessent, this measure aims to protect the U.S. financial system from risks posed by drug traffickers and other criminal actors. Secretary Bessent emphasized the importance of using all available tools to identify and counter such criminal activities.
The GTO takes effect 30 days after publication in the Federal Register and will remain in place for 179 days. Among others, the order covers Imperial and San Diego counties in California and Cameron and El Paso counties in Texas.
